Why Businesses Should Take Advantage Of Co-op Partnership With Toyota

Businesses and individuals in Kenya should take advantage of the strategic partnership between the Co-operative Bank of Kenya and Toyota Kenya.

At the beginning of the month, Toyota Kenya and Co-operative Bank entered into a strategic financing partnership that enables the bank’s customers to purchase commercial and personal vehicles under Toyota Kenya’s portfolio, including Toyota, Suzuki, Hino, and Yamaha.

The partnership also allows fleet customers Co-op Bank Fleet Africa Leasing Ltd., the leasing arm of Co-operative Bank Group, to acquire more units.

According to Co-operative Bank, the partnership is an amplification of the existing deal that only covers the commercial segment with the financing of the Hiace van and Hilux pickups.

Co-operative Bank will also extend a Kshs. 500,000 working capital loan without additional security to the successful applicants of the Toyota Vehicles in addition to providing a 2-month (60 days) grace period.

“This is on top of up to 95 percent financing towards the acquisition of the vehicles, payable within 60-months, and this is to give our customers the best even as they come to terms with the impact of Covid-19 to businesses,” said Co-operative Bank representative.

Toyota Kenya Managing Director, Arvinder Reel, in lauding the improved deal said the pandemic demonstrated the need to support individuals and sectors that are at the heart of the country’s economy with flexible options to acquire key assets for their operations.

Co-operative Bank’s Director of Corporate and Institutional Banking, Mrs. Jacquelyne Waithaka said that the scheme is available for those customers who want direct acquisition of the vehicle of choice or for leasing.

The bank has made the terms flexible to accommodate MSMEs, Co-operatives, Corporate, Individuals, and Farmers, even as the economy opens. The terms are attractive especially on the 2 months grace period.

Even after the lifting of the interest rate capping, the two firms have agreed to keep the borrowing rate at 13 percent per reducing balance. This also allows individual customers to purchase any Toyota Kenya models ranging from Toyota, Hino, Suzuki, or Yamaha at a competitive rate.

This is an opportunity for Co-operative Bank customers to own both business and personal cars with the help of the bank.